09-08-1999 Council Agenda - Laserfiche WebLink

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4'4 a 29 f l CIanaek 515 Little Canada Road, Little Canada, MN 55117 -1600 (651) 484 -2177 / FAX: (651) 484 -4538 MEMORANDUM TO: Mayor Fahey & Members of the City Council FROM: Joel Hanson, City Administrator DATE: September 3, 1999 RE: Precision Tree Property Acquisition Update MAYOR Michael I. Fahey COUNCIL Beverly Scalze Jim LaValle Steve Morelan Bob Pedersen ADMINISTRATOR Joel R. Hanson The owners of Precision Tree Service have been presented with a purchase agreement for their property at 2929 Country Drive. I advised them a voluntary sale agreement is needed by our September 8th Council meeting or we will have no choice but to initiate eminent domain proceedings in order to comply with our development agreement obligations with Mr. Biagini. They have informed me that their attorney is out of town until September 7th and they won't be able to give me a definitive answer until that time. The offer I have made them is the appraised value of their property, a fixed fee relocation payment, and $15,000 to avoid eminent domain. While I am hopeful we will have an executed purchase agreement for your consideration at Wednesday's meeting, I have enclosed the necessary resolution and letter setting our "Offer of Just Compensation." The Council will need to adopt this resolution at Wednesday's meeting if an executed purchase agreement is not in hand. As a result, our offer would be reduced by the $15,000 eminent domain figure. Also attached is a copy of a letter I recently sent to Mr. Richard Schreier regarding the possible acquisition of his two parcels located in the vicinity Spruce Street and Owasso Boulevard. I have told Precision Tree that it may be possible to locate on the parcel on the south side of Owasso if their proposed building complies with I -P requirements and if screening of outdoor storage can be done in a manner that is compatible with surrounding properties. Given the configuration of this lot and the natural screening that exists, I feel it is a viable option for relocation given the fact no other sites are available. (The reason I am suggesting we deal on both parcels is to spur development of these sites. A few parties have expressed interest in them that may result in quality development. Mr. Schreier is interested in dealing with us if we will provide him with a Section 1033 letter indicating the threat of eminent domain. We would then assign our interests to the developer best meeting our criteria.) Your comments on this matter would be appreciated. Cc: Precision Tree Service Dick Biagini Page 32